Planned reforms by the Department for Work and Pensions (DWP) could see up to 800,000 people lose access to Personal Independence Payment (PIP), despite having what experts call “legitimate claims”.
The move is part of a broader government effort to reduce welfare spending by £5 billion, raising concerns among economists and regional leaders about its social and political consequences.
The New Economics Foundation (NEF) has warned that the planned cuts will disproportionately affect vulnerable individuals and regions already struggling with high levels of deprivation.
With the UK experiencing a sharp rise in disability and financial hardship, experts argue that more people turning to state support reflects systemic need rather than abuse of the welfare system.
Eligibility Under Scrutiny as Government Seeks to Curb Rising Welfare Costs
The DWP’s proposal to reassess eligibility for PIP comes amid growing fiscal pressure and increased public expenditure on disability benefits.
According to analysis from the NEF, the surge in PIP claims is driven by two interrelated factors: a genuine rise in the number of people living with disabilities and an increase in socioeconomic hardship. These findings suggest that current claimants largely align with the programme’s intended purpose.
Max Mosley, senior economist at the NEF, stated: “Our analysis suggests that PIP is going to exactly the sort of people it is intended to support, but that higher rates of disability and financial hardship are driving more people to claim.” He also warned that tightening access to benefits would likely affect those most in need of assistance.
In response, the DWP clarified that no immediate changes would be made to current entitlements and stressed that “the majority of people who are currently getting PIP will continue to receive it.”
A spokesperson added that the changes are part of a broader “Plan for Change” aimed at building a “sustainable welfare system” that encourages employment while reducing long-term dependency on benefits.
Regional Impact Raises Political and Social Alarm, Particularly in Wales
Concerns are particularly acute in Wales, where disability rates are significantly higher than in other parts of the UK. According to First Minister Eluned Morgan, certain former coalfield communities see over 40% of working-age adults receiving disability benefits.
She warned that the planned cuts could have a sixfold impact in some Welsh areas compared to their English counterparts.
Morgan called on the UK Government to consider the Welsh model of welfare, which focuses on providing tailored support and employment opportunities. “In Wales, we believe in an opportunity welfare state, one that supports people to move forward when they can and stands beside them when they can’t,” she said.
Her comments reflect wider political unease about the central government’s approach. Critics argue that targeting benefits such as PIP may lead to unintended social consequences, including increased hardship among disabled populations and political fallout similar to that seen over the Winter Fuel Payment reductions.
